Lawsuits target legality of Valley View transfer

Tuesday

May 13, 2014 at 2:00 AMMay 13, 2014 at 6:57 AM

In dueling court papers filed last week, attorneys clashed over the legality of the Orange County Legislature's 12-9 vote last month to transfer control of the county-owned Valley View Center for Nursing Care and Rehabilitation to an independent board that intends to sell it.

BY CHRIS MCKENNA

In dueling court papers filed last week, attorneys clashed over the legality of the Orange County Legislature's 12-9 vote last month to transfer control of the county-owned Valley View Center for Nursing Care and Rehabilitation to an independent board that intends to sell it.

In a case that could block or slow the county's dash to privatize the 360-bed facility, Goshen attorney Michael Sussman has sued on behalf of a group of Valley View residents and employees to invalidate the transfer, arguing that it violated both the county charter and state law.

The state law governing county governments requires approval by at least two-thirds of a Legislature for counties to sell property, which Orange County didn't have in this case. In their response papers, Orange County attorneys repeated their position that a simple majority sufficed because lawmakers transferred Valley View under the authority of a different state law — the Not-For-Profit Corporation Law.

Sussman contends the requirement for a two-thirds majority remained in effect, since the Not-For-Profit Corporation Law doesn't specifically offer exemption from it.

His suit also challenges the transfer of Valley View through a resolution instead of a local law, which the county charter requires when eliminating a department. This distinction is significant because Valley View supporters could petition for a countywide referendum on selling the home if the Legislature must redo its April 9 transfer with a local law.

The county's attorneys argue that the 415-employee Department of Residential Health Care Services isn't being eliminated because its commissioner will be given new duties after Valley View is sold — giving the agency at least one employee. Under that new role, the commissioner would act as an advocate for private nursing-home patients.

In response, Sussman scoffs that such a shift would transform the Valley View department "from a nursing home operator to a consultancy."

The county's attorneys claim Sussman's suit is premature because Valley View hasn't been sold yet. Sussman fires back: "The issues which animate this dispute are now ripe for judicial intervention and will not 'ripen' further with time in the heat."

The appointees in charge of Orange Valley View Development Corporation met for the first time last week and are expected to gather again in late June to review bids for Valley View. The county plans to seek offers from private nursing-home operators this week.

Attorneys were due to appear before state Supreme Court Justice Elaine Slobod on Monday to discuss Sussman's lawsuit, but the appearance was canceled because Slobod and other judges were attending a funeral.